OTIF: measured zero is different from missing data
Count orders meeting both conditions, rather than multiplying two percentages.
Beginner-friendly animated guide
Learn OTIF: measured zero is different from missing data from the beginning
Count orders meeting both conditions, rather than multiplying two percentages. Use the controls to study one section at a time. No previous warehouse knowledge is required.
Use the same orders and promised delivery dates for on-time, in-full and both. Agree whether partial deliveries, customer holds and cancellations belong in the denominator. Do not combine dispatched orders for one measure with delivered orders for another.
Worked example
Of 100 orders, 80 are on time and 90 are in full. If 75 satisfy both, OTIF is 75%. If the overlap was not measured, it could be between 70 and 80 orders. Multiplying 80% by 90% gives 72%, which is an assumption about overlap, not a measurement.
When zero is real
Of 100 orders, 40 may be on time and 30 in full with no order satisfying both. Measured OTIF is then 0%. Leaving the overlap blank means unknown, whose feasible range is 0–30% in this example.
Investigate before assigning blame
Take a sample of failed orders and code the actual reason: supply, allocation, picking, dispatch, carrier, appointment or promise-date error. The two totals alone do not establish who caused failure.
Sales and operations report different OTIF because they use different promised dates and tolerance rules. The useful response is not a generic target or a tick-box answer. Start by defining the exact event, location, item, time period and decision owner so that another reviewer can reproduce what happened.
Decision path
Agree the order grain, promise field, quantity rule, time window and exclusions before calculating performance. Record assumptions before changing the process. Compare the proposed control with the current condition, test it on a limited scope where appropriate, and define the condition that would require work to stop or management to escalate.
Evidence pack
Order extract, promise changes, delivery evidence, cancellation rule, exception reason and signed definition. Keep the source record with the action rather than copying only a summary into a presentation. A complete pack should show who reviewed the information, what was excluded, the date of the decision and proof that the action was later checked.
Supervisor walkthrough
Observe the work at the location and ask the operator to explain the normal sequence.
Compare the observed sequence with the written standard and system record.
Separate an isolated exception from a repeated condition by checking recent history.
Agree one immediate control and one corrective action with a named owner and realistic date.
Return after implementation and verify the result with evidence, not verbal confirmation.
Common failure to avoid
Do not close the review with “team advised” or “monitor closely.” Those statements do not identify a changed control, accountable owner or effectiveness check. A useful closure states what changed, where it changed, when it was checked and what result would reopen the issue.
Method and verification
This lesson is an operational decision aid. Reconcile definitions to your contracts, system fields and approved local procedure. See the calculation and evidence method.
